Back in March I read Alpha magazine’s ranking of the 25 top hedge fund managers and was struck by the reported fact that Renaissance Technologies’ disparity between their funds. The flagship fund produced an 80% return, (after fees!) in 2008 but it open only to “partners, employees, ex-employees and friends”. According to Alpha magazine “Outsiders can invest with Simons through his firm’s two other funds, Renaissance Institutional Equities Fund and Renaissance Institutional Futures Fund, both of which were down last year.” (Emphasis mine)

Today’s WSJ reports on C1 “Simons Questioned by Investors” reports that for this year the Institutional Equities fund is down 17% while the flagship (closed fund) is up 12%.

Does anyone have a good explanation?